Americans Cut Costs to Save For Retirement

A
survey from Scottrade Inc. found that Americans are taking action by comparison
shopping, using coupons and generally cutting back on unessential expenses such
as clothing or entertainment.

In
order to reduce their financial concerns this year:

•
Sixty-nine percent are spending less, compared to 63% in 2011;

•
Sixty-seven percent are using coupons, compared to 59% in 2011; and

•
Sixty-five percent compare prices to find the best deal, compared to 58% in
2011.

The
survey data indicates Americans’ uncertainty stems from debt. Weighed down by
non-mortgage debt, this year, more Americans—40% compared to 33% in
2011—reported it caused them to save less for retirement. And the trend is
expected to continue with 34% stating that non-mortgage debt will cause them to
save less for retirement in 2012.

Only
5% of Americans recommend saving 2% or less annually for retirement, yet 55% of
Americans reported saving 2% or less in 2011 and 33% plan to save 2% or
less in 2012.

Despite
these concerns, the majority of Americans (72%) said they are confident in
their own abilities to plan for retirement. Overall, 61% of respondents expect
to be able to completely retire—and not work again—between the ages of 45 and
74. Fifteen percent of the survey’s respondents have already retired, with the
majority doing so between the ages of 45 and 74.

The
survey was commissioned by Scottrade and conducted online by Synovate. The
survey was fielded with a nationally representative sample of 1,000 respondents
from January 5 to 9, 2012.